In a move that appears to validate Joint Chiefs Of Staff Chairman Joseph Dunford’s concerns about China’s strategy of slowly expanding its territorial and military footprint in the Pacific, the Chinese government unveiled on Sunday a “magical” island-building ship on the eve of Donald Trump’s visit in a move likely to renew fears about its claims to territory in the South China Sea, the Financial Times reported.
Authored by Stephen Kotkin via The Wall Street Journal,
In the 100 years since Lenin’s coup in Russia, the ideology devoted to abolishing markets and private property has left a long, murderous trail of destruction...
Just two weeks after warning of the potential for an imminent 'Minsky Moment', Chinese central bank governor Zhou Xiaochuan has penned a lengthy article on The PBOC's website that warns ominously of latent risks accumulating, including some that are "hidden, complex, sudden, contagious and hazardous," even as the overall health of the financial system appears good.
The imminence of China's Minksy Moment is something we have discussed numerous times this year.
It’s been nearly two months since Chinese cryptocurrency exchanges were abruptly shuttered by local regulators, part of President Xi Jinping’s ongoing crackdown on capital outflows and potentially embarrassing or destabilizing market forces in the weeks ahead of last month’s National Party Congress.
During the Party Congress, even China’s somewhat watered down versus of the free markets was suspended so as not to disturb the glorification of Xi Jinping as the nation’s greatest leader since Mao. Returning to “business as usual”, some commentators have been disturbed by the continued rise in government bond yields with the 10-year hitting 3.93% earlier this week.
Bloomberg described it this morning as a “tumultuous few days”.